VACATIONLAND FEDERAL CREDIT UNION

2018 Annual Report

Federally Insured by NCUA INSURED DEPOSITS CORPORATE HEADQUARTERS Member depository accounts are insured up to $750,000. The fi rst $250,000 VacationLand Federal Credit Union of insurance is provided by NCUA’s National Credit Union Share Insurance Fund. 2911 Hayes Avenue The remaining $500,000 is provided by private insurance from Excess Share Sandusky, Ohio 44870 Insurance Company, paid for by VacationLand Federal Credit Union. Telephone: 419.625.9025/800.691.9299

ANNUAL MEETING INDEPENDENT AUDITORS The Annual Meeting of the Credit Union’s owners will be held at 8:00 A.M. on Doeren Mayhew, CPAs and Advisors Wednesday, March 13, 2019 at our Corporate Headquarters, 2911 Hayes Avenue, 305 West Big Beaver Road Sandusky, Ohio. Troy, Michigan 48084

1 This is Your Credit Union

VacationLand Federal Credit Union, (the Credit Union), was founded in 1956 by employees of the Sandusky, Ohio General Motors Plant. In 2001, the Credit Union expanded its fi eld of membership including anyone who lives, works, and worships, attends school or has a business or organization in Erie County, Ohio.

In 2010, the Credit Union extended its membership into The Credit Union supports community employment Huron County, Ohio by merging with School Employees opportunities by funding local small businesses. Business loan Federal Credit Union (SEFCU) to include employees of products include equipment, auto, truck, lines of credit and the Boards of Education who work in Huron County and commercial real estate loans. employees of the Board of Education of EHOVE Joint Vocational School in Erie County. With $231 million in assets, VacationLand Federal Credit Union, headquartered in Sandusky, Ohio serves over 19,400 In 2017, the Credit Union expanded its membership through members, businesses and organizations at fi ve branch offi ces the merger with the Sandusky Ohio Edison Employees and 11 ATMs in the cities of Sandusky, Huron, Norwalk and Federal Credit Union. Membership eligibility extends to Vermilion. We serve our members at over 5,000 plus CO-OP employees of the Ohio Edison Company who work in Shared Branches and at over 32,000 MoneyPass and over Sandusky, Bellevue, Port Clinton or Norwalk, Ohio; spouses of 5,000 Alliance One surcharge-free ATM locations in the United persons who died while within the fi eld of membership of this States. Through 24-hour online banking, Remote Deposit credit union; retired persons, members of their immediate Capture and CU*Talk Telephone Account Access, we serve families; and organizations of such persons. members wherever they are.

Today, VacationLand Federal Credit Union is a member- VacationLand Federal Credit Union is a member of owned, not-for-profi t fi nancial cooperative dedicated to Corporate One Federal Credit Union, National Credit Union being the lifetime fi nancial institution of its members, by Administration’s Central Liquidity Facility, Federal Reserve providing services at lower or no fees, or loans with lower Bank of Cleveland’s Discount Window and the Federal Home rates plus deposit products with higher dividend rates. Loan Bank of Cincinnati. VacationLand Federal Credit Union is an Equal Opportunity Employer and an Equal Housing Lender. VacationLand Federal Credit Union is a federally chartered credit union, regulated by the National Credit Union VacationLand Federal Credit Union received Low-income Administration (NCUA), an agency of the federal government. Designation through the NCUA, providing benefi ts to Credit unions are the only democratically controlled fi nancial VacationLand to help serve members who have challenges institution in the U. S. Members elect a volunteer board of accessing fi nancial products and services. Low-income directors to govern the credit union. In contrast, banks are designation benefi ts include: for-profi t entities, governed by a paid board of directors, with Accepting non-member deposits from any source all profi ts benefi ting the bank shareholders. A gateway to community development fi nancial institution The Credit Union off ers its members a full suite of fi nancial (CDFI) certifi cation products including mortgage, home equity, consumer, Opportunities to apply for grants and low-interest loans student and credit card loans and a wide array of savings, checking, money market and certifi cate deposit products.

Corporate Profi le 2 How Your Credit Union Succeeds

VacationLand Federal Credit Union is much more

OUR VISION than a place for banking. We live and work in northern To be our members’ chosen Ohio, and we’re dedicated to helping our members and lifetime fi nancial partner and to improve our communities our communities prosper and thrive. Every member for future generations. of VLFCU is part of our family. We care about you and your well-being instead of the bottom line.

OUR MISSION When you become a member, you become a shareholder Guided by our core values, of VacationLand Federal Credit Union. We’ll work for we exist as a not-for-profi t cooperative to serve and you as we work with you to manage your fi nances, surpass by providing value and fi nancial freedom. invest in a new home or business, or save for retirement. Working together, we can all succeed. About Your Credit Union

3 Many people may not know what makes VacationLand Federal Credit Union diff erent from other fi nancial institutions. Here are just a few ways that demonstrate our uniqueness:

WE ARE MEMBER-OWNED WE ARE NOT-FOR-PROFIT

As a member-owner, regardless how much you We are out to protect your wallet, not fi ll our save or borrow, you determine who serves on the own! We return profi ts to you, the members, in Board of Directors. You have one vote for each the form of lower loan rates, higher dividend open Board of Director seat. Also, as a member- rates, and low or no fees for services. owner, annual meetings are open to you. We encourage you to att end. WE ARE VOLUNTEER DRIVEN

WE ARE A COOPERATIVE Each member of our Board of Directors is an unpaid volunteer you have elected to work in Cooperatives pool resources for the common your best interest. Directors serve on Asset/ good. In like fashion, depositors of VacationLand Liability Management, By-Laws, Policy, Facilities, Federal Credit Union pool funds to lend to Marketing and Nominating committ ees, assisting one another. Through our structure and management in making decisions on how operation, credit unions carry out the credit to improve member products, service and union philosophy of “people helping people.” operational effi ciencies. At VacationLand Federal Credit Union, you’re not just an account number—you’re a member helping other members.

Put another way, VacationLand Federal Credit Union is diff erent. We are not a bank. We’re not a payday lender. We are a low cost fi nancial institution that you will want to be affi liated with for a lifetime. We appreciate the opportunity to serve you, and we value your membership. If you have experienced the VacationLand Federal Credit Union diff erence, please encourage your family and friends to discover the benefi ts of membership.

4 Governing Bodies ofBOARD Your OF DIRECTORS Credit Union The 2018 Board of Directors is comprised of seven volunteers, elected by you, the members, who are responsible for the governance, direction and control of the aff airs of VacationLand Federal Credit Union in accordance with National Credit Union Administration rules and regulations and sound business practices. The Board of Directors dedicates its time and talent to make VacationLand Federal Credit Union a premier credit union. It delegates the day-to-day activities through policies to Senior Management of the credit union. Directors serve for a term of three years with terms expiring at the end of each annual meeting. The Director positions expire as follows: three Director Positions expire in one year and two Director Positions in each of the succeeding two years. Monthly meetings are held by the Board of Directors to conduct the business of the credit union by reviewing its performance and policies. Once per year the Board of Directors also meets with Senior Management for a full day session to develop the three-year strategic plan.

TERM EXPIRATION (COMMITTEE MEMBERSHIP)

Top Row, Left to Right: Jude Hammond: Chairman – 2019 (Asset/Liability Management, By-Laws) Jan Sadoski: Vice Chairman – 2021 (Nominating, Policy) Marcia Renande: Secretary – 2020 (Asset/Liability Management, Marketing) Tracy Luc: Treasurer – 2021 (By-Laws, Nominating) Bottom Row, Left to Right: Joel Hassinger: Director – 2019 (Facilities) Christine Giardina: Director – 2020 (Asset/Liability Management) Elmer Lippert: Director – 2021 (Asset/Liability Management, Nominating)

5 Your Credit Union is Being Led By Example

SUPERVISORY COMMITTEE WILLIAM STAUDER Chairman

The Supervisory Committ ee consists of members appointed by the Board of Directors to serve one to three year terms. These volunteers are responsible for assuring the safety of the credit union’s assets and deposits, the soundness of management and compliance with various fi nancial and regulatory requirements.

In fulfi lling these responsibilities, the Supervisory Committ ee recommends to the Board of Directors for ratifi cation the appointment of an independent audit fi rm to annually examine the fi nancial statements of the credit union.

An audit of the 2018 fi nancial statements was conducted by Doeren Mayhew CPAs and Advisors. The audit report stated that VacationLand Federal Credit Union’s fi nancial statements present fairly, in all material aspects, our statements of fi nancial position, results of operations and cash fl ows. The audit report for 2018 will be available around March 13, 2019 and you may request a report from:

Mitchell J. Fallis, CPA, CGMA, MBA, CCUIP Chief Financial Offi cer 2911 Hayes Avenue Sandusky, Ohio 44870 419.609.2718

The National Credit Union Association also conducts periodic examinations of the records, policies, practices and the application of NCUA regulations upon VacationLand Federal Credit Union. VLFCU was not examined by the NCUA during 2018 and therefore, we do not have anything to report this year.

Just like the Board of Directors, the Supervisory Committ ee also holds monthly meetings to, among other things, review internal audit services, internal controls and risk management processes, and examinations by regulatory agencies and the independent audit fi rm.

A representative of the Supervisory Committ ee att ends the monthly Board of Directors meetings and shares their fi ndings. To date, the Supervisory Committ ee has reported that, in their opinion, VacationLand Federal Credit Union has operated in a fi scally safe and sound manner and, in all material aspects, in accordance with applicable accounting, federal, state, and NCUA regulations.

2018 Supervisory Committee members are: William Stauder, Theresa Barylski, Christopher Palmer, Lynn Sartor and Jacquelyn Streng. We are hopeful that 2019 will be another good year for VacationLand Federal Credit Union as we all work together to serve you, our members.

6 Your Credit Union’s Chairman

VacationLand Federal Credit Union is continuing to grow. Our asset size has grown by an additional $15 Million to $230 Million at year’s end. In addition, the credit union has added total equity in excess of $2 Million to a total equity position of $24 Million. The Board continues to be challenged by how we can convert our capital to quality member service. VacationLand is a not-for-profi t collaborative whereby we work together to serve each other.

JUDE T. HAMMOND Chairman of the Board of Directors

Service can be defi ned in many ways. Service can be seen in our branches when you are greeted by one of our staff members or how you are treated with respect and support when applying for a loan. Service can be viewed when you are using the online banking application. Service can be realized by providing fi nancial products that meet the needs of our members. Service can be measured by off ering competitive interest rates. Service can be hidden from sight and behind the scenes when our staff works diligently in making sure we are in compliance with the federal and state laws with the goal of providing a safe and secure fi nancial institute that you can rely on without fear. Service can be maximized when we have the resources to meet your needs.

Another way that we serve our members is by providing goodwill support to our community. We have been involved in Coats for Kids, developed food drives, provided fi nancial education programs for our local students, conducted Easter Egg Hunts, and donated to a number of charitable organizations. We will continue to explore opportunities to support our local community as part of our way of giving back.

This year we will be developing plans to give back more to our members. We will be looking at ways to reward our members for their loyalty and for making good fi nancial decisions. We also want to hear from you to determine if we are meeting your expectations. We want to be your primary fi nancial institution. We also want to sustain our relationship with you. Please feel free to contact us to provide your thoughts on how we can best serve you!

In closing, we wish all our members the best for 2019! We are here to serve you! Message From the Chairman of the Board

7 of Directors

Your Credit Union’s CEO

I would like to take this time to express my gratitude to you, our members, for your continued support and trust in VacationLand Federal Credit Union, and for choosing us as your lifetime fi nancial partner. Our vision is clear: together we will strengthen our communities for future generations.

BRYAN P. MYERS Chief Executive Offi cer

2018 was an exceptional year for VacationLand Federal statement conveys a 7.34% asset growth, compared to Credit Union, fi lled with change and progress. It’s 6.01% in 2017; loan growth, 11.08%; our ROA increased to gratifying to look back at our achievements. Two major .99%; our capital ratio was 10.80%; and membership grew accomplishments included continuation of work on our by 3.12%, an increase of 588 discerning new partners. non-interest revenue opportunities, and increasing our deposit insurance coverage from $500,000 to $750,000. We can all take great satisfaction in knowing that our credit The latt er assured us of being the only fi nancial institution in union still remains in the top tier of Ohio credit unions. Ohio to off er this level of deposit protection to its members. I’m excited about what 2019 holds for us. Specifi c 2018 was also an excellent year in terms of member plans include: satisfaction. Increased membership numbers are always Streamlining internal operations to include improvements a good sign of customer satisfaction, and our team in staffi ng to ease member service hiccups members are always striving to meet or exceed our Seamless succession planning, pending key retirements customers’ expectations. Increased membership means Continuing to identify and implement non-interest more opportunities for us to grow. Earlier in the year we revenue streams; i.e., Member Business Lending, a credit petitioned the NCUA for a fi eld- of- membership expansion union service organization which provides national into other surrounding counties. And, although our request comprehensive business lending services to credit unions was denied due to federal court rulings and considerations, Supporting small businesses by providing loan products we remain committ ed to providing current members the which match their specifi c needs highest quality service, products, and expertise, all for your Providing continual fi nancial education workshops online convenience and peace of mind. Off ering new, ever-changing technologies to our members as soon as they become available I am pleased to report that the credit union remained fi nancially healthy in 2018, facing all the changes and challenges imposed upon us head-on. Our 2018 fi nancial Message From the CEO 10 FINANCIAL HIGHLIGHTS (*Unaudited) December 31, 2018 2017 2016 2015 2014 Assets Cash and Equivalents $ 9,733,483 $ 5,835,484 $ 9,101,403 $ 9,653,004 $ 5,489,726 Investments 51,427,697 56,137,363 57,592,517 48,062,711 48,012,878 Loans 162,656,691 146,429,833 129,820,630 119,736,934 109,310,640 (less) Allowance for Loan Loss (1,648,114) (1,354,463) (1,170,428) (1,093,271) (1,029,382) Land, Building and Equipment, net 6,535,928 5,577,607 5,957,890 6,084,740 5,590,614 Other Assets 2,285,395 2,573,771 1,697,424 1,518,500 1,898,344 Total Assets $ 230,991,080 $ 215,199,595 $ 202,999,436 $ 183,962,618 $ 169,272,820 Liabilities Other Liabilities $ 1,306,826 $ 1,069,740 $ 2,512,169 $ 1,788,988 $ 1,546,239 Notes Payable 23,656,249 21,384,043 17,770,367 15,299,243 15,807,477 Total Liabilities 24,963,075 22,453,783 20,282,536 17,088,231 17,353,716 Share Drafts 30,880,958 27,186,456 25,486,130 23,611,021 19,671,665 Shares 110,429,982 112,274,208 106,426,776 96,791,820 89,922,809 Certificates 35,506,709 28,411,579 28,682,992 26,075,914 24,621,183 Non-member Certificates 4,459,104 2,278,128 1,340,000 1,092,606 0 Total Deposits 181,276,753 170,150,371 161,935,898 147,571,361 134,215,657 Owners Equity (Capital) Regular Reserves 2,928,513 2,928,513 2,870,959 2,870,959 2,870,959 Accum. Unrealized Gain/(Loss) - AFS (184,962) (135,957) (153,424) 10,693 15,073 Undivided Earnings 22,007,701 19,802,885 18,063,467 16,421,374 14,817,415 Total Equity 24,751,252 22,595,441 20,781,002 19,303,026 17,703,447 Total Liabilities & Owners Equity $ 230,991,080 $ 215,199,595 $ 202,999,436 $ 183,962,618 $ 169,272,820 Income Loan Interest $ 8,204,527 $ 7,153,717 $ 6,626,475 $ 6,204,942 $ 5,735,483 Investment Interest 1,849,357 1,651,407 1,460,049 1,226,712 1,210,797 Non-interest Income 3,442,985 3,207,838 3,183,913 3,166,518 2,944,045 Gain/(Loss) on Sale of Assets 63,197 2,303 55,781 0 0 Total Income 13,560,066 12,015,265 11,326,218 10,598,172 9,890,325 Expenses Staffing 4,704,023 4,373,026 4,165,893 4,042,169 3,989,375 Dividends 848,661 579,889 566,475 505,285 529,012 Interest Expense on Borrowings 476,969 427,075 346,420 265,160 195,251 Provision for Loan Losses 845,000 700,000 565,000 360,000 267,000 Operating Expenses 4,480,597 4,266,529 4,040,338 3,821,598 3,382,841 Total Expenses 11,355,250 10,346,519 9,684,126 8,994,212 8,363,479 Net Income $ 2,204,816 $ 1,668,746 $ 1,642,092 $ 1,603,960 $ 1,526,846 Financial Ratios Return on Average Assets (ROAA) 0.99% 0.80% 0.85% 0.91% 0.94% Net Interest Margin 3.91% 3.73% 3.71% 3.77% 3.83% Operating Expenses to Average Assets 4.12% 4.13% 4.24% 4.45% 4.54% Efficiency Ratio 68.05% 71.92% 72.81% 74.25% 74.58% Loans to Shares 89.75% 86.08% 80.17% 81.74% 81.44% Allowance for Loan Loss to Total Loans 1.01% 0.92% 0.90% 0.91% 0.94% Net Charge-offs to Average Loans 0.36% 0.37% 0.39% 0.27% 0.40% Delinquent Loans to Total Loans 0.49% 0.63% 0.61% 0.54% 0.74% Capital to Assets 10.80% 10.56% 10.31% 10.49% 10.45% Distribution of Income Operating Expenses $ 9,184,620 $ 8,639,555 $ 8,206,231 $ 7,863,767 $ 7,372,216 Dividends 848,661 579,889 566,475 505,285 529,012 Capital 3,049,816 2,368,746 2,207,092 1,963,960 1,793,846 Number of Members 19,435 18,847 18,113 17,533 16,833 Number of Employees 72 72 71 65 64

* Copies of audited Financial Statements are available upon request

11 VacationLand Federal Credit Union achieved another year of strong fi nancial growth in 2018 with total assets climbing to $231 million. Four key measures of fi nancial strength continued in 2018: Net Income, Loans, Deposits, and Capital.

MITCHELL J. FALLIS, CPA, CGMA, MBA, CCUIP Chief Financial Offi cer

2018 IN REVIEW Deposits rose by 6.5% ending the year at $181,276,753. Deposit growth was led by increases in certifi cates by 25.0% and Shares Net Income eclipsed the $2 million mark for the fi rst time reaching Draft s by 13.60%. $2,204,816 in 2018, compared to 2017 net Income of $1,668,746. Loan growth surged 11.1% in 2018. Loan quality showed modest improvement The Credit Union’s Equity position climbed to $24,751,252 at with net charge-off s to average loans decreasing from .39% for 2017 to December 31, 2018. The Capital to Asset Ratio, another key .36% for 2018 coupled with a decrease in delinquent loans to total loans indicator of the fi nancial strength, rose to 10.80% at December from .63% from 2017 year-end to .49% at 2018 year-end. 31, 2018 while the year ago ratio was 10.56%. Both ratios are well above the 7.00% ratio required to be categorized as Return on Average Asset (ROAA) is a key measure of a credit union’s “Well Capitalized” under National Credit Union Administration fi nancial health. The 2018 ROAA rose 19 basis points from 2017 regulations for prompt corrective action. reaching .99% compared with a 2017 ROAA of .80%. Net Interest Margin improved to 3.91% for 2018 compared with 3.73% for 2017, supported by higher loan and investment yields. 2019 A LOOK AHEAD

Revenues in 2018 increased by $1,544,801 and totaled $13,560,066, The Federal Open Market Committ ee raised the federal funds rate compared with $12,015,265 in 2017. Loan Interest Income increases lead four times during 2018 by 25 basis points each time. We forecast a the revenue growth at 14.7% along with increases in investment income 2019 interest rate environment with three increases in the federal of 12.0%, followed by increases in non-interest income of 7.3%. funds rate of 25 basis points, one in the fi rst quarter, one at mid- year and the third near year-end. We expect the yield curve to Total Expenses increased by $1,008,731 in 2018 to $11,355,250, fl att en with short-term rates rising 50 -75 basis and longer-term supported by increases in staffi ng costs of $330,997, dividends of rates rising 20 - 25 basis points. $268,772, interest of $49,894, operating expenses of $214,068, and provision for loan losses of $145,000. We anticipate a slight decrease in auto and home loan markets in 2019. VLFCU’s fi nancial mix of earning assets, deposits, borrowed Total Assets rose by $15,791,485 or 7.3%, reaching $230,991,080 at funds and capital coupled with our three-year fi nancial plan December 31, 2018. Asset growth was funded by growth in deposits of positions us for success in 2019 and beyond. $11,126,382, FHLB Borrowings of $2,272,206 and equity of $2,115,811. We will minimize our long-term interest rate risk by funding fi xed Total Loans at December 31, 2018 grew by $16,226,858 as long-term mortgages and member business loans with fi xed long- VacationLand Federal Credit Union worked to satisfy member demand term borrowings from the Federal Home Loan Bank of Cincinnati for mortgages, auto loans, credit card loans, home equity lines of and member and non-member deposits. credit, and member business loans. The 2019 fi nancial plan incorporates a solid marketing strategy Investments decreased by $4,709,666 to $51,427,697 at year-end coupled with education and training for our employees. We will primarily to fund loan growth. continue to focus on building relationships with existing and new members to assist them in reaching their fi nancial goals. Investment Income for 2018 rose 12.0%, to $1,849,357, driven by an investment strategy of reinvesting maturing securities into higher We thank our employees, Board and Supervisory Committ ees for yielding longer-term certifi cates, municipal and agency securities. their dedication. We thank you, our members, for your continued support and look forward to a prosperous 2019.

Message From the CFO 12 Message From the Treasurer of the Board of D NET INTEREST MARGIN/ AVERAGE ASSETS MEMBERS RETURN ON AVERAGE ASSETS

14 15 16 17 18 14 15 16 17 18 14 15 16 17 18

3.83% 16,833 0.94% 3.77% 17,533 0.91% 3.71% 18,113 0.85% 3.73% 18,847 0.80% 3.91% 19,435 0.99%

2018 EARNINGS AND MEMBERSHIP GROWTH TRACY LUC Treasurer of the Board of Directors Thanks to the loyalty of our long-term members and the infl ux of new members, I am pleased to report another strong year for VacationLand Federal Credit Union. Net Income for 2018 eclipsed the $2 million mark for fi rst time ending 2018 at $2,204,816. The 2018 Return on Average Assets surged to .99%, compared to .80% and .85% in 2017 and 2016, respectively.

Year over year membership growth is 3.1% growing from 18,847 in 2017 to 19,435 at 2018 year-end, a direct result of the eff orts from management and staff to provide uncommon member service. We have managed the Credit Union with integrity, protecting its safety and soundness, and thereby fostering the confi dence of our members and our service communities.

13 Your Credit Union Thrives Directors

EFFICIENCY RATIO CAPITAL/ASSET RATIO

14 15 16 17 18 14 15 16 17 18

74.58% 10.46% 74.25% 10.49% 72.81% 10.31% 71.92% 10.56% 68.05% 10.80%

DEPOSIT INSURANCE INCREASED FROM $500,000 TO $750,000 2019 AND BEYOND

On December 1, 2018, VacationLand Federal Credit Union increased its VacationLand Federal Credit Union makes decisions deposit insurance from $500,000 to $750,000 on all Depository accounts. with our members’ long-term interests in mind. The NCUA’s National Credit Union Share Insurance provides the fi rst We will continue our history of giving back to our $250,000 of deposit insurance. The remaining $500,000 level of deposit members in the form of bett er rates, low or no insurance is provided by private insurance from Excess Share Insurance fees and more aff ordable fi nancial services. As in Company, paid for by VacationLand Federal Credit Union. past years, we continue to do our best to deliver member-driven service as evidenced by continued More and more individuals, families and small local businesses are capital investments in our information technology discovering the benefi ts of a not-for-profi t fi nancial cooperative and are and related soft ware, ATM network, and website. moving their money from banks to credit unions. This year, our deposits Thank you for your confi dence and loyalty in our grew by 6.5% or $11.1 million to over $181.2 million compared with a 5.1% credit union. growth during 2017.

On behalf of the Board of Directors, we wish to extend our thanks to the staff and management for meeting the fi nancial needs of our members with such great care and commitment.

14 Your Credit Union in the Community

In 2018 VLFCU did our best to increase our community involvement and membership experience. Management and staff worked together to ensure that we donated, empowered and educated individuals and non-profi ts in an eff ort to promote both individual and community success.

HEATHER GILCHRIST Marketing Director

At the end of November, VLFCU was able to make four donations to area non-profi ts due to monies available in our candy bar sales and employee jean day funds. Members purchase candy bars throughout the year from our tellers, while employees donate $1 on Fridays and Saturdays to wear jeans. Aft er consideration by a committ ee and employee input, donations totaling $5,000 were made to the Salvation Army of Sandusky, the Humane Society of Erie County, Victory Kitchen, and Serving Our Seniors.

Additional donations were made to many organizations through monetary contributions and sponsorships including the Foundation for Firelands, Stein Hospice, Cancer Services, United Way of Erie County, OHgo, Community Youth Mentoring, Safe Harbour Domestic Violence Shelter, Erie Conservation District, Kendra’s House, Norwalk Parks & Recreational Department, Children’s Miracle Network Hospital, Nehemiah Center, Caryl Crane Youth Theatre, BGSU Firelands Scholarship Fund, Huron River Fest, Firelands Positive People, Boys & Girls Club of Erie County, and Remember Crusin’ Car Club.

VLFCU’s community involvement was further demonstrated through our commitment to several other on-going projects. Our Marketing Director, Heather Gilchrist, continued to co-chair Stuff the Bus Erie County. Collaborating with the Sandusky Mall, United Way of Erie County, and the Volunteer Center, this annual fundraiser provided new backpacks fi lled with school supplies to 400 elementary students att ending Sandusky, Perkins, Sandusky Central Catholic, Margarett a, Edison and Vermilion school districts. A special thanks goes out to the Sandusky Police offi cers who helped with inventory and bag stuffi ng.

VLFCU also renewed their partnership with BAS Broadcasting to sponsor Coats for Caring. Hundreds, if not thousands, of coats and warm clothing were donated. Aft er items were cleaned by Maytag Laundry, they were distributed to area residents in Erie and Huron counties by the Department of Jobs & Family Services. In conjunction with the coat drive, VLFCU once again hosted our Annual Toy Drive. With the help of our membership, area residents, and Stefano Dental, we were able to donate several hundred toys to children in Erie and Huron counties.

The impact we made in 2018 was astounding, but we owe much of the success to our VLFCU members! Each year members step up to donate money, buy a candy bar or two, and drop off coats, toys, and school supplies. No matt er the size or shape of the donations, they all add up to ways we help pay it forward in our local communities. Donations 15 Investing in Our Membership & Communities

16 Education & Your Credit Union in the Community

Financial Literacy and student success continued to be a focal point in 2018. Several managers volunteered for Junior EmpowermentAchievement in Erie County, as well as Finance 101 in Huron County. Instruction was also provided through classroom presentations to high school students in Huron and at EHOVE. During Credit Union Youth Month, we engaged with our younger members by encouraging them to take part in age-appropriate fi nancial skill contests. Additionally, we awarded six scholarships to member-students graduating from Huron, Edison, Perkins, Margarett a, Sandusky, and Vermilion school districts.

Our educational eff orts, however, were not solely devoted to the younger generation. In fact, VLFCU invested in a new digital education initiative geared toward every aspect of life. Our Financial Empowerment program provides our members and community with an engaging learning experience around critical personal fi nance topics such as building emergency savings, mortgage education and retirement planning.

Highlights of the program include:

Opportunities to apply for grants and low-interest loans A series of 3-10 minute, interactive learning modules on key fi nancial topics. Several fi nancial tools and calculators Mobile and tablet enabled so you can learn anytime, anywhere. Available in English and Spanish

Your fi nancial well-being is important to us, and we are committed to providing you with resources to manage your money. We encourage you to share this resource with your family, friends, and co-workers. To get started, visit www.vlfcu.org and click on the Financial Literacy page under the Member Center tab.

17 INDEPENDENT FINANCIAL ADVISOR David Karikas, of Preferred Planning Associates, off ers more than 29 years of experience in non-deposit investment products (a), insurance and fi nancial advice. David’s services are available to VLFCU’s members. David Karikas serves over 750 members with over $37 million in invested assets. Additional products include Life Insurance, Long-Term Care and Fixed Annuities. David is located at our Perkins Offi ce, 2409 East Perkins Avenue, Sandusky, Ohio or call 419 625.9025 Extension 1777.

(a) Non-deposit Investment Products: are not FDIC or NCUA insured, are not obligations of or guaranteed by VacationLand Federal Credit Union, involve investment risk and may lose value. David Karikas is a Registered Representative off ering securities through Cambridge Investment Research, Inc., a broker/dealer, Member FINRA/SIPC. Cambridge, VacationLand Federal Credit Union, and Preferred Planning Associates are not affi liated companies.

18 ATM LOCATIONS LOCATIONS

All fi ve of our branches are equipped with Hayes Avenue Branch Norwalk Branch ATMs to provide 24-hour access to cash funds. 2911 Hayes Avenue 295 Milan Ave, Suite C Additionally, members can access their accounts Sandusky, Ohio 44870 Norwalk, Ohio 44857 at the following business locations: 419.625.9025 419.668.6346

Firelands Regional Medical Center Perkins Avenue Branch Vermilion Branch 1111 Hayes Avenue 2409 E. Perkins Avenue 1607 State Route 60 N Suite 11 Sandusky, OH 44870 Sandusky, Ohio 44870 Vermilion, Ohio 44089 2nd Floor – Vending Machine Area 419.625.9025 440.967.5155

Firelands Hospital – South Campus Huron Branch Phone: 419.625.9025 or 800.691.9299 1912 Hayes Avenue 2402 University Drive CU*Talk: 419.621.8328 or 877.256.3336 Sandusky, OH 44870 Huron, OH 44839 Website: www.vlfcu.org Lower Level – Near Elevators 419.433.3229

Sports Force Parks at Cedar Point Sports Center 3115 Cleveland Road W CONNECT WITH US Sandusky, OH 44870 Social Media: International Automotive Components (IAC) f/VacationLandFCU 1608 Sawmill Parkway t/VacationLandFCU Huron, OH 44839 y/VacationLandFCU Outside Plant Cafeteria i/VacationLandFCU l/company/VacationLandFCU Vermilion - Main Street Soda Grill 5502 Liberty Avenue Vermilion, OH 44089 Walk-Up ATM – East Side of Building

PRIVACY POLICY The Privacy Policy of VacationLand Federal Credit Union describes how we safeguard our members’ fi nancial privacy. Your fi nancial privacy is our priority. For more information, visit us at www.vlfcu.org or call 419.625.9025. Federally Insured by NCUA